A Midland college that is sacking nearly 500 staff is being investigated by a watchdog after using public money on a consultant to push through the drive.
Walsall College of Art and Technology has employed Durham-based csm-consulting to advise on the restructuring since September.
Walsall College has refused to answer a request from The Birmingham Post under the Freedom of Information Act to reveal how much it is paying Mr Graham.
But an industry source claimed rates of pay were likely to be anything from £700 to up to £1,500 a day.
Union leaders claim the cash is an "abuse of public money" when the institution's senior managers earn £435,000 a year, including £104,000 to its principal Chris Ball.
A total of 470 staff out of about 700 are being sacked and forced to re-apply for their jobs under new contracts which college lecturers' union NATFHE described as "inferior".
Last month it called on public spending watchdog the National Audit Office to investigate the fees paid to consultant Simon Graham.
A spokesman for the NAO said: "We are looking into it. We have been talking to the Learning and Skills Council. We will be contacting the college once we have done that."
Union bosses believe Mr Graham is also being provided with an apartment while working in the Midlands.
Chris May, West Midlands regional official for NATFHE, said: "On the one hand the senior management are justifying sacking 470 teaching staff only to re-employ them on a worse contract on the basis of value for money for the tax payer. At the same time the senior management are dishing out bucketloads of cash to a consultant undertaking work that they are already well paid to undertake."
Consultants are extensively hired within the education sector but NATFHE questioned their use in view of pay rises of between 102 per cent and 180 per cent to principals over the last decade regionally.
Last Friday union members voted in favour of strike action at the college over the restructuring announced just before Christmas.
NATFHE claims the move, which includes abolishing A-level provision as part of a curriculum review, is illegal.
It says college managers have failed to go through a statutory three-month consultation required under the Trade Union and Labour Relations (Consolidation) Act 1992. It is now drawing up plans to take managers to court.
Walsall College maintains it had been forced to implement the restructuring to achieve "value for money in the use of limited public funds".
Walsall College's deputy principal David Wheeler said the curriculum change was designed to "refocus its offering to mirror Governmental priorities" and help "up-skill the workforce".
He maintained it was not in the public interest for the college to disclose "commercial interests" about how much it was paying consultants.
The matter has been referred to the Information Commissioner in a bid to get the college to disclose the details. Mr Wheeler responded:"We believe we have legitimate grounds to withhold this information. However, if the Information Commissioner disagrees then we will abide by his interpretation."